Old Republic Insurance Co. v. Workers' Compensation Appeal Board3/15/1999
Submitted: May 15, 1998
Old Republic Insurance Company (Employer) appeals from an order of the Workers' Compensation Appeal Board (Board) which had affirmed the decision of a Workers' Compensation Judge (WCJ) granting Cathy Mascolo's (Claimant) claim petition.
Claimant began working for Employer in 1978 as a typist. From 1978 to 1988, Claimant received excellent evaluations from her supervisors and, as a result, she received several promotions during that time period. Specifically, Claimant went from a typist position in 1978 to a position of Group Leader/Junior Accountant, which involved the supervision of several employees, by 1989.
In 1989, Employer experienced a dramatic change in employment due to the hiring of new supervisors who attempted to make the company more profitable by increasing employee productivity. As a result, many employees experienced an increase in assignments and job duties and several employees, including Claimant's immediate supervisor, were terminated for poor work performance following their annual performance review. A new supervisor was appointed. Unlike her previous supervisors, Claimant's new supervisor gave her little or no indication as to whether he was satisfied with her job performance. However, Claimant's 1989 evaluation indicated a poor performance, and in January of 1990, Claimant's workload increased substantially. As a result of receiving this evaluation, Claimant became more anxious at work and began experiencing severe headaches, sleep loss, chest pains and an upset stomach. Claimant also became very anxious about the amount of work that she had to finish, theorizing that, if she did not finish all of her work in a timely manner, she would be terminated. As a result of the increased workload and accompanying stress, Claimant unsuccessfully attempted to get a transfer out of her department.
When in March of 1990, Claimant indicated to Employer that she was considering a job offer with another company, she was called in for what Claimant termed "a counseling session," which Claimant characterized as a formal reprimand, after which she gave Employer her two-week notice that she was leaving. Claimant continued working with Employer until April 10, 1990, one week after she gave notice, when Claimant's treating physician, Dr. Kevin Wong, instructed Claimant not to return to work due to acute stress-related gastroenteritis and high blood pressure. Claimant provided Employer with timely notice of her injury, but did not return to work after April 10, 1990. Thereafter, Claimant began working with Westmoreland Hospital as an admissions clerk. Claimant was subsequently promoted to a position in the billing department. Both positions at the hospital were on a part-time basis.
On April 27, 1990, Employer issued a notice of compensation denial, stating, inter alia, that Claimant's injury and disability were not work related.
On February 14, 1991, Claimant filed a claim petition, alleging that, due to "repetitive minitrauma events" from November 1, 1989, to April 9, 1990, she suffered "Gastroenteritis-Stress Relateddisability." On March 20, 1991, Employer filed a timely answer, denying the allegations contained in the petition, and hearings were scheduled before a WCJ.
During the hearings, Claimant testified to the above events. Specifically, Claimant testified that, as a result of the increase in work accompanying the upheaval in the company, Claimant began to experience headaches, pain in her chest and a feeling that her stomach was in knots. She did not, however, indicate that any physical problems prevented her from going to work and performing her duties or that any physical problems forced
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